Authors: Will Bateman, Jason Allen

Centre: CIPL

Research theme: Regulatory Law and Policy

This article explores legal and constitutional dimensions of central banks’ powers to create money, ‘central bank reserves’, through monetary policy operations. Despite the prominence of monetary authority since the Financial Crisis, the law supporting the creation of central bank reserves is very obscure, as is the role of law in structuring constitutional authority over money. We de-mystify those important matters in three steps. First, we explain, for a legal audience, the role of central bank reserves in the financial system and broader economy. Secondly, we analyse the legal basis for the creation of central bank reserves in three prominent ‘North Atlantic’ monetary jurisdictions: the US Dollar, Euro and Sterling systems. Thirdly, we show how the legal structure of central banking intermediates the constitutional state's authority over money through parts of the financial system, focusing on high-profile policy proposals, including ‘QE for the people’, and the creation of central bank digital currencies.

Authors: Will Bateman,

Centre: CIPL

Research theme: Regulatory Law and Policy

Monetary finance (money creation by central banks to fund public expenditure) is a high-profile part of economic, political and policy debates concerning the legitimacy of central banks in liberal economies and democracies. This article makes a distinctively legal contribution to those debates by analysing the legal frameworks governing monetary finance in three prominent central banking systems between 2008 and 2020: the Federal Reserve System, the Eurosystem and the Bank of England. It begins by explaining the law governing central bank and national treasury relations in the United States, the EU and the UK. It then examines how that law operated under the unconventional monetary policies adopted by central banks in response to the financial crisis and the COVID-19 pandemic. The article concludes by reflecting on the challenges monetary finance presents to the sui generis position of central banks in the liberal constitutional order.

Authors: Will Bateman, Michael Kumhof, Jason G Allen, Rosa M. Lastra, Simon Gleeson, Saule T. Omarova

Centre: CIPL

Research theme: Regulatory Law and Policy

Based on legal arguments, we advocate a conceptual and normative shift in our understanding of the economic character of central bank money (CBM). The widespread treatment of CBM as a central bank liability goes back to the gold standard, and uses analogies with commercial bank balance sheets. However, CBM is sui generis and legally not comparable to commercial bank money. Furthermore, in modern economies, CBM holders cannot demand repayment of CBM in anything other than CBM. CBM is not an asset of central banks either, and it is not central bank shareholder equity because it does not confer the same ownership rights as regular shareholder equity. Based on comparisons across a number of legal characteristics of financial instruments, we suggest that an appropriate characterization of CBM is as ‘social equity’ that confers rights of participation in the economy’s payment system and thereby its economy. This interpretation is important for macroeconomic policy in light of quantitative easing and potential future issuance of central bank digital currency (CBDC). It suggests that in robust economies with credible monetary institutions, and where demand for CBM is sufficiently and sustainably high, large-scale issuance such as under CBDC is not inflationary, and it does not weaken public sector finances.

Authors: , Andrew Ray

Centre: 

Research theme: Law and Technology

Rapid technological advancement is changing the way that political parties, voters, and media platforms engage with each other. This along with cultural change has led to an emerging era of disinformation and misinformation driven by both domestic and foreign actors. Political deepfakes, videos created through the use of artificial intelligence, allow individuals to rapidly create fake videos indistinguishable from true content. These videos have the capacity to undermine voter trust and could alter electoral outcomes. Regulating disinformation however raises significant free speech concerns, as well as questions about where liability should fall. In particular, holding large technology and media platforms accountable for content could lead to unintended chilling effects around freedom of expression, harming rather than protecting democratic institutions. Proposed regulations should therefore be carefully analysed through the framework of the implied freedom of political communication, ensuring that any new laws are proportionate and tailored to the threat they seek to prevent. This article analyses how current Australian law interacts with political deepfakes and proposes two targeted amendments to our federal electoral regulations to reduce the threat they pose to elections.

Authors: Tim Bonyhady,

Centre: CLAH

Research theme:

From the complete coverage of chadaris to mini-skirts, and back again. From ancient carpet designs to woven depictions of tanks and Kalashnikovs. From photographs of unveiled women to an image of horror—the execution of a kneeling woman known as Zarmeena, videoed covertly by one of the few watching women. This remarkable book provides a history of Afghanistan through the visual.

The Kabul Stadium looms large because it was there, one afternoon in August 1959, that women first appeared in western dress at a celebration of Afghanistan’s independence—a turning point, not only for women in Afghanistan’s cities but also for the country itself, symbolising its embrace of the modern. It was also there, one afternoon in November 1999, that the Taliban killed Zarmeena.

Two Afternoons in the Kabul Stadium offers both a new way of seeing Afghanistan and a new way of understanding it.

Authors: , Andrew Ray, Arabella Young, Will Grant

Centre: 

Research theme: Regulatory Law and Policy

Policy makers globally often claim to use evidence when making policy decisions, but few studies have documented and evaluated the sources of evidence they rely on. This poses challenges to researchers and decision makers alike, as they struggle to assess the impact of research on policy. This study analysed citations in Australian federal parliamentary committee reports to better understand the role that academic sources play in shaping policy. Results show that academic sources are rarely cited by federal parliamentary committees, and of those that are cited, most are academic inquiry submissions or oral evidence, with very few citations of peer reviewed research. This finding points towards a need for academics seeking policy impact to engage more proactively with government inquiry submission processes. To incentivise this approach, we suggest that changes be made to the way that academic impact is measured within the university sector in order to avoid disincentivising researchers from making submissions to parliamentary inquiries.

Authors: , Andrew Ray, Bridie Adams

Centre: 

Research theme: Law and Technology

This article analyses how current Freedom of Information laws apply to automated decision-making systems. The authors argue that while current law may extend to automated systems its application is unclear, both to practitioners and government. Instead, amendments to the FOI Act 1982 (Cth) could clarify how the law operates with respect to automated systems, and better balance the underpinning objectives of the Act.

Authors: Anton Moiseienko,

Centre: CIPL

Research theme: Human Rights Law and Policy, International Law

Providing a unique analytical framework to capture a diverse, fragmented and highly evolving practice, the Research Handbook on Unilateral and Extraterritorial Sanctions is the key original reference work covering how sanctions have indisputably become central instruments of foreign policy.

Dr Anton Moiseienko authored Chapter 23, 'Due process and unilateral targeted sanctions'.

Authors: ,

Centre: 

Research theme: Human Rights Law and Policy

The Invisible Hurdles project is an integrated justice project of four partner organisations the project leader is the Hume Riverina Community Legal Service (HRCLS) a program of Upper Murray Family Care and this research was funded through them by the Victorian Legal Services Board and Commissioners grants program. The other three partners in this multidisciplinary and Health Justice Partnership are : Albury Wodonga Aboriginal Health Service (AWAHS) – this is an Aboriginal Community Controlled organisation; North East Support and Action for Youth (NESAY) is a leading agency supporting young people and their families in North East Victoria, servicing a vast region of seven municipalities; The Wodonga Flexible Learning Centre (WFLC) – this is a campus of the Wodonga Senior Secondary College - an alternative education centre was established in 2014. The project is run in the Hume Riverina region of Victoria and New South Wales focussing on ‘at risk’ young people.

Authors: ,

Centre: CIPL

Research theme:

Australia is asserting itself as a serious space player and needs a strategy to match its positioning. In 2018, the creation of the Australian Space Agency (ASA) gained international attention. The ASA’s mission is to develop the nation’s commercial space industry. The new focus on space in the 2020 Defence Strategic Update (DSU) firmly signalled Australia’s intent to advance its sovereign space capabilities.

Authors: Donald Rothwell,

Centre: CIPL

Research theme: International Law

In June this year, the Antarctic Treaty will celebrate its 60th anniversary. The milestone has prompted questions as to whether a treaty negotiated in 1959 is capable of continuing to provide an appropriate governance framework for Antarctica.

Authors: Heather Roberts,

Centre: CIPL

Research theme: Constitutional Law and Theory

This chapter examines the role and responsibilities of a chief justice. Using the judicial legitimacy values propounded by Richard Devlin and Adam Dodek, we argue that a ‘successful’ chief justice will promote and protect these values as they negotiate and manage the many relational dimensions of the role with other judges, with the executive, the Parliament, the profession, the academy, the media, and the wider public. Our study highlights interpretative disputes, including as to whether an individual chief justice has responded to genuine, as opposed to improperly perceived, threats to judicial values and about how a chief justice might best navigate between the values, particularly as new values, such as representativeness and efficiency, can appear in opposition to more traditional values. Such questions are symptomatic of ongoing disagreement about the fragility of judicial values, particularly independence, as well as the subjective nature of any attempt to evaluate judicial performance. We argue that there is a need for a more developed normative framework to better understand – and critique – the individual choices and actions of chief justices.

Authors: Jelena Gligorijevic,

Centre: CIPL

Research theme: Private Law

When the High Court decided Australian Broadcasting Corporation v Lenah Meats Pty Ltd (‘Lenah’) in 2001, it left the door open for a common law tort of interference with privacy. However, privacy claims brought since Lenah have seen courts interpret that judgment restrictively, some holding that tortious remedies are unavailable. The importance of the High Court’s decision for the development of privacy protection through tort law should, therefore, be reaffirmed. In addition to the confirmation in Lenah that a tort of interference with privacy is recognisable in Australian common law, there are good reasons why the courts should now recognise this tort. There is a sufficiently strong normative demand that the common law intervene to protect individual privacy, and tort law is the most appropriate mechanism. When courts are presented with privacy cases reflecting that normative demand and fitting within tort law’s remedial capacity, they should recognise and apply a tort of interference with privacy.

Authors: Akshaya Kamalnath,

Centre: CIPL

Research theme: Indigenous Peoples and the Law

The economic and political empowerment of Indigenous people are linked although the issue of economic empowerment is often overlooked. This Brief analyses the corporate governance model and business structures used by Māori in New Zealand along with some developments in Canadian Indigenous businesses. Based on this, the Brief makes suggestions for proving the regulatory support and options available for Indigenous businesses in Australia.

Authors: Faith Gordon,

Centre: CIPL

Research theme: Human Rights Law and Policy

Children and young people throughout the world have felt the effects of Coronavirus Disease 2019 and the decisions made in response to the public health crisis, acutely. Questions have been raised about adequately protecting children’s privacy, as schooling, play and socialising went almost exclusively online. However, due to the historical lack of children’s rights being embedded throughout decision-making processes (including important participation rights), the effects of the increased surveillance as a result of the pandemic have not been thoroughly considered. This article pursues three objectives. First, it seeks to develop the literature on the enabling aspects of privacy for children in relation to education and play. Second, it seeks to expand the discussion on the exploitative risks endemic in not protecting children’s privacy, including not only violent harms, but commercial exploitation. Third, it suggests some policy responses that will more effectively embed a children’s rights framework beyond the ‘parental control’ provisions that dominate child-specific data protection frameworks.

Authors: Damian Clifford,

Centre: CIPL

Research theme: Human Rights Law and Policy

Children and young people throughout the world have felt the effects of Coronavirus Disease 2019 and the decisions made in response to the public health crisis, acutely. Questions have been raised about adequately protecting children’s privacy, as schooling, play and socialising went almost exclusively online. However, due to the historical lack of children’s rights being embedded throughout decision-making processes (including important participation rights), the effects of the increased surveillance as a result of the pandemic have not been thoroughly considered. This article pursues three objectives. First, it seeks to develop the literature on the enabling aspects of privacy for children in relation to education and play. Second, it seeks to expand the discussion on the exploitative risks endemic in not protecting children’s privacy, including not only violent harms, but commercial exploitation. Third, it suggests some policy responses that will more effectively embed a children’s rights framework beyond the ‘parental control’ provisions that dominate child-specific data protection frameworks.

Authors: Greg Weeks,

Centre: CIPL

Research theme: Administrative Law

For a long time judicial review in Australia was little more than a carbon copy of its English equivalent. In the period before the various Australian states became part of a unified federal nation, judicial review occurred within the inherent supervisory jurisdiction of the various Supreme Courts of those individual colonies and proceeded in a manner similar to that of English courts exercising inherent supervisory jurisdiction. The Australian Constitution is now the defining feature and dominant force of our judicial review doctrine.

The key feature of the Australian Constitution that has enabled the recognition and entrenchment of judicial review of administrative action is the express creation and entrenchment of the courts. The express recognition and protection of a selection of the judicial remedies has proved equally important because the constitutional mention of some of the traditional remedies of judicial review has provided the foundation for the courts to entrench by implication that which necessarily precedes the issue of those remedies. While these and other important elements of the Australian Constitution have enabled the development of constitutionally protected avenues of supervisory review, this same constitutional foundation has also provided the source of judicial review principles that increasingly differ from their early English heritage. Many parallels between English and Australian principles remain and the one we discuss about natural justice suggests that, as happens within so many families, Australian judicial review can unwittingly replicate the mistakes of its English parent.

Authors: Akshaya Kamalnath,

Centre: CIPL

Research theme: Human Rights Law and Policy, International Law

A recent decision of the Supreme Court of Canada Nevsun Resources Ltd. v Araya, has brought the issue of transnational corporations’ responsibility for human rights violations to the forefront in Canada. After critically examining the decision, this article aims to propose an effective legislative design for Canada. The article also examines another pertinent decision (this one from the UK), Vedanta Resources plc. v Lungowe in this regard. The proposals for effective legislation in Canada set out in this article will also be relevant for other countries considering the introduction of (or amending) modern slavery laws.